Suddenlink Will Spend Just $200 Per Passing to Get to a Gigabit

Suddenlink, the fifth-largest U.S. cable TV operator with about 1.15 million subscribers, says it will pass about 85 percent of all its locations with gigabit high speed access by the end of 2017.

Suddenlink will do so in stages, initially focusing on boosting speeds across the board. “Once fully phased in, the plan calls for our flagship Internet speed to increase from 15 to 200 Mbps and our top Internet speed to increase from over 100 Mbps to 1 Gbps in a vast majority of our markets,” said Jerry Kent, Suddenlink chairman and CEO. “We expect to complete these enhancements in a phased, market-by-market approach, focusing first on our largest and most competitive markets.”

“In 2014 and the first quarter of 2015, we completed the initial phases of Operation GigaSpeed in 37 markets, which serve approximately 57% of our residential high-speed Internet customers,” said Kent. “Those investments allowed us to increase the flagship Internet speed from 15 Mbps to 50 Mbps and to increase our top Internet speed to up to 150 Mbps to 300 Mbps in those markets.”

"Starting in the second half of 2014 and extending through 2017, we expect to invest up to $230 million of capital expenditures to significantly enhance our Internet speeds in markets serving 94 percent of our high-speed Internet customers and ultimately position our network to offer speeds of up to 1 gigabit per second ("Gbps") in markets serving nearly 85% of our high-speed Internet customers," said Kent.

So do the math: that works out to $200 per customer. If you want to know about the cost advantage cable operators have, using hybrid fiber coax, that’s quantifiable answer.No U.S. telco can match that cost per passing to get to a gigabit.

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Gary Kim has been a communications industry analyst and journalist for more than 25 years, and currently works mostly as a content developer (marketing copy, white papers, applied research, conference and blog content).

He speaks often at industry events, has written one book and a half dozen major market studies and 14,000 articles.

His work is noted for its examination of business model issues, especially wireless and mobile.

He recently founded the Spectrum Futures conference for the Pacific Telecommunications Council.

He was cited as a global "Power Mobile Influencer" by Forbes; ranked second in the world for strategic coverage of the mobile business.

He is a member of Mensa, the international organization for people with IQs in the top 2 percent.